Osaka Soda Co.,ltd. · TSE:4046
Osaka Soda Co.,ltd — H1 FY2024 Earnings Presentation
23 slides from Osaka Soda Co.,ltd's earnings presentation, Dec 4, 2024
Slide 1: 1H FY2024 Presentation Material
1H FY2024 Presentation Material - Results for 1H FY2024 & Full-Year Forecast - December 4, 2024
Slide 2: Results for 1H FY2024
J OSAKA SODA / Results for 1H FY2024
Slide 3: Earnings Trends
Earnings Trends Sales and profits increased YoY due to drastic reduction in the impact of production problems and steady growth in healthcare. Second-highest profit ever achieved amid softening market conditions for basic chemicals. Operating income （right scale） Ordinary income （right scale） (M
Slide 4: Overview of Consolidated Financial Results
Overview of Consolidated Financial Results Sales and profits Increased due to elimination of the impact of production problem at the end of June 2024. Operating income was generally in line with the initial forecast, with a significant increase YoY. 1H FY2023 1H FY2024 Change %Change Initial Ach
Slide 5: Segment (Basic Chemicals)
Segment (Basic Chemicals) Basic chemicals : Supply issues due to production problem were resolved at the end of June. Chlor-Alkali and Epichlorohydrin : Affected by softening market conditions and sluggish demand. 30,000 Net sales Operating income 14,000 (Millions of yen) 25,000 12,000 Variance
Slide 6: Segment (Functional Chemicals)
Segment (Functional Chemicals) Synthetic rubber : Demand for epichlorohydrin rubber increased as an alternative material due to stricter environmental regulations for automotive applications. Synthetic resin : New adoption of UV inks increased mainly in China. Allyl ethers : Production problem
Slide 7: Segment (Healthcare)
Segment (Healthcare) Chromatography : Demand is expanded for diabetes and obesity medications applications in Europe, the U.S., and Asian markets. APIs and their Intermediates : Sales of intermediates for the treatment of diabetes complications, muscle disease drug substances expanded, sales of
Slide 8: Segment (Trading and Others)
Segment (Trading and Others) Functional Products : Demand recovered mainly for electronic materials and automotive products. Consumer Products : Sales of building materials increased. Affected by the withdrawal of the plant engineering business at FY2022. 20,000 Net sales Operating income 14,0
Slide 9: Balance Sheet, Statement of Cash Flows
Balance Sheet, Statement of Cash Flows Maintain a high level of equity ratio in the 70% range. Strategic investments such as capacity expansion based on a stable financial position. Cash flow from investing activities significantly exceeded YoY levels due to large investments in silica gel man
Slide 10: Forecast for FY2024
J OSAKA SODA / Forecast for FY2024 A sometsieg Better with Chemicals
Slide 11: Forecast for FY2024
Forecast for FY2024 Plans to achieve record-high operating income and net income for the current fiscal year. Concerned about downside risks such as slow economic recovery in China, we have already resolved production problems and plan to continue expanding healthcare business. Initial forecas
Slide 12: FY2024 Forecast by Segment
FY2024 Forecast by Segment Basic chemicals : Recovery of business performance due to resolution of production problems, demand recovery is expected. Functional chemicals : Strong sales of synthetic rubber and synthetic resins are expected. Healthcare : Continue to perform strongly from the pre
Slide 13: Segment (Basic Chemicals)
Segment (Basic Chemicals) Basic chemicals : Production activities and have normalized, recovery of demand expected. Chlor-alkali : Strengthen local sales to maintain market share in the recovering domestic demand. Epichlorohydrin : Focus on improving sales and profitability in response to over
Slide 14: Segment (Functional Chemicals)
Segment (Functional Chemicals) Synthetic rubber: Epichlorohydrin rubber focuses on capturing demand for alternative materials due to stricter environmental regulations in emerging countries. Acrylic rubber accelerates the acquisition of new adoptions by utilizing production capacity that has been
Slide 15: Segment (Healthcare)
Segment (Healthcare) Chromatography : Expand sales for diabetes and the rapidly expanding obesity medications. Aim to gain further market share by acquiring new customers, especially in Asia. APIs and their Intermediates : Capture new demand as active pharmaceutical procurement returns to the do
Slide 16: Segment (Healthcare) Topics
Segment (Healthcare) Topics New silica gel manufacturing facility completed in Matsuyama in September 2024. Energy used for manufacturing is carbon neutrality. Latest equipment and process automation improved production efficiency. Started manufacturing validation samples, aiming for full-sc
Slide 17: Segment (Trading and Others)
Segment (Trading and Others) Functional Products : Expect recovery in demand for glass fiber and other products, especially in the automotive industry. Specialty Polymer Materials: Expect demand to recover mainly in the automotive and construction applications. Building Materials: Expect deman
Slide 18: Shareholder Returns
Shareholder Returns In FY2024, an annual dividend of ¥19* is planned, which is increased from FY2023. During the medium-term management plan (2023-2025), we aim to a total shareholder return ratio of 40%. （Yen） （％） Annual dividend per share (left scale) Dividend increase (left scale) Payout rati
Slide 19: Expansion of chromatography business
Expansion of chromatography business
Slide 20: Chromatography: Development and deployment
Chromatography : Development and deployment Expansion of portfolio in response to changes in pharmaceutical modality. Strengthen product lineup by developing new modified silica gel. We will launch of the polymer gel developed through a business alliance with Mitsubishi Chemical Corporation in
Slide 21: Ultra-high Surface Area Silica Gel
Ultra-high Surface Area Silica Gel Developed the Silica Gel with the highest specific surface area (approx. 600+ m2 per gram) Improved the purification efficiency of compounds with small molecule, including hyperlipidemia treatments (EPA) by approx. 30% compared to conventional products. Surfa
Slide 22: Silica Gel Expansion Plans and Demand Trends
Silica Gel Expansion Plans and Demand Trends New silica gel manufacturing facility in Matsuyama aims to speed up validation. Amagasaki 2nd phase expansion under consideration to shorten construction period by 6 months. We plan to make a decision on the next expansion plan within FY2025. (Capac
Slide 23: Contact: Osaka Soda Co., LTD.
Contact : Osaka Soda Co., LTD. Public Relations Group, Corporate Planning Department TEL : 06-6110-1560 This document is not prepared for the purpose of soliciNng investment in securiNes issued by us. All information contained in this document represents our views as of the time of preparation of th